Iran warns of 200 dollar oil as Gulf ship attacks continue
Iran warns oil could reach 200 dollars as three more ships are attacked in the Gulf. Missile strikes targeted Israel and US bases amid ongoing regional conflict.
The military command of Iran has warned that global oil prices could surge to $200 per barrel as maritime security in the Gulf continues to deteriorate. The announcement follows a series of missile strikes launched by Tehran against targets in Israel and across the Middle East on Wednesday. Despite what the Pentagon described as the most intense strikes by the United States and Israeli forces to date, the Iranian military demonstrated its ongoing ability to disrupt energy supplies in the region.
The potential for a prolonged supply shock has drawn the attention of global energy firms, including SM Energy Company, as the Strait of Hormuz remains a primary chokepoint for a fifth of the world's oil. While oil prices settled around $90 a barrel on Wednesday, down from a brief peak of $120 earlier in the week, the International Energy Agency is reportedly considering a record release of 400 million barrels from strategic reserves to mitigate future shocks.
